Friday, February 3, 2023

Thurrock Council v Morrison: Small businesses suffer as £1.4 million payment with-held

THE WAR between Thurrock Council and building repairs company Morrison intensified this week as the council “pulled the plug” on this months million pound payment.

Over the past year, YT has chronicled the battle between the council and Morrison over the delivery of a number of aspects of the contract.

In September, chief executive, Graham Farrant threw down the gauntlet saying it was time for Morrison to “Shape up or ship out.”

On Wednesday night, council leader John Kent hinted that negotiations had taken a step on.

In a correspondence seen by YT, Morrison have told companies that: “Due to our client not settling their commitments with Morrison to the value of £1.4m+. It’s with great regret there will not be a payment run for Thurrock as informed by central finance.

We are trying to resolve this problem with the client and hope to be able to continue with payments as soon as possible. We would like to apologise for this situation and we will keep you informed of any changes.

A company director, who did not wish to be named said: “Whoever is right or wrong, small businesses are being used as some form of human shield.

“This is the hardest week of the year and the two of them have to sort it out or even more companies may go under.”

1 COMMENT

  1. I am a bit of a ignoramus in terms of local news so you will forgive me for not knowing to much about this story. However it seems simple enough in that Morrison’s are contracted by Thurrock to carry out repairs on the council’s behalf in tenants homes.

    For whatever reason the council has decided that the contractor is not giving the service or the quality of service or both, that they believe that they and the tenants should be receiving and so have decided to stop making contracted payments to the contractor.

    The contractor in turn has told sub contractors, some of whom are local small businesses, they they in turn are unable to pay them until they are in receipt of the monies from the council. What a right pigs ear this sounds.

    My only question is this. If council tenants and Thurrock residents who are not tenants, decide that the services that they are receiving from the council are not up to scratch, can we elect to withhold our council tax payments? Sort it out out for goodness sake, but then politicians of all ilks are hardly qualified to sort anything out in a reasonable fashion or in a timely manner, now are they!

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